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How do renters not pay property tax? It's part of the cost of the property that the rent is based on.

• s1artibartfast 5y ago
  Not any more than I pay corporate taxes at the groceries because it is baked into the price of goods. In some places, property taxes could impact rent, but in many places it doesn't matter because the price of rent is much higher than the cost of owning the rental (including tax). This is most true in places where you can't build more housing inventory.
  • Retric 5y ago
    It’s not that home ownership isn’t more common as you move up the income scale. It’s that cars/homes become a smaller percentage of a persons income and overall wealth. At the extreme end, Bill Gates may own a 150 million dollar house, but that’s ~1/30th his annual income and 1/1,000th of his wealth. It’s not that nobody wealthy owns several properties, it’s that they generally have other things they want to spend their income on. Meanwhile owning a car worth even 3k is 1/10th the income of some at 30k, and many people have much more expensive cars at that income level. Worse the rate is generally higher on cars than homes. Similarly, nobody actually rich is “house rich” the way retired people are where their house is 10-30x their annual income. (500k to 1.5 million house with a 50k income.) So, even if you exclude rental income it’s still very regressive.
    • s1artibartfast 5y ago
      Honest thanks, I got that from your other post. I would argue it is some sort modified regressive tax, where the bottom 35% of the people who don't own pay nothing, then your regressive tax percent of income kicks in.